[NEWS IN-DEPTH] Analysis on Korea-Japan trade friction

일본 수출 규제 조치, 대응은?

We've entered the 13th day since Japan's export curbs of high-tech materials against Korea,... and Seoul-Tokyo tensions are showing no sign of abating.
President Moon Jae-in has sent a grave warning to Japan, saying that the measures will backfire, eventually hurting Japanese firms,... to which Tokyo's Chief Cabinet Secretary Yoshihide Suga said the measure will be imposed for national security reasons, not as retaliation.
This, while diplomatic and economic efforts continue to mitigate impact.
Today we go in-depth on the issue with Dr. Yang Jun-sok, Professor of Economics at the Catholic University of Korea.

1. Japan has not given one single export approval to Korea-bound core semiconductor materials over the last 13 days. The deadline for the approval is 90 days. Do Korean firms have to wait for another 77 days to see if they can import the materials they need?
2. Korean firms are busy looking for alternatives that can replace materials from Japan. Samsung Electronics has reportedly obtained emergency supplies of three key materials following Vice Chairman Lee Jae-yong's visit to Japan,... and SK Hynix is known to be testing home-made high-purity hydrogen fluoride. The government is also looking to diversify its import channels, including Russia and Taiwan. How do you assess on-going efforts? Sufficient?
3. Japan also said that it will exclude Korea from its 'whitelist' of trading partners that were given export privileges. Japan plans to collect opinions this month and make a final decision in August. If Korea is excluded from the list, what kind of impact would it have?
4. Japan is citing the fact that Korea has not implemented catch-all restrictions on conventional weapons, and the absence of bilateral consultations in recent months... as grounds for pulling Korea out of the whitelist. Your thoughts on this?

5. The Korean government is reportedly setting its strategy against Japan's move to pull South Korea out of the whitelist. What could be done about this?
6. The recent Seoul-Tokyo trade friction is shedding new light on bilateral trade relations between the two nations. And Korea, the U.S. and Hong Kong are Japan's three major trade surplus nations. In fact, Korea has been posting trade deficit against Japan for more than five decades now. Then doesn't this mean a loss for Japan as well?
7. What other option are there for Seoul to reduce dependency on Japanese imports, especially on high-tech materials?
8. Japan's export curbs are adding to currency market uncertainties ahead of the Bank of Korea's monetary policy meeting set for this Thursday. A rate freeze is widely expected, what's your forecast for this month and the next?

#Japan #exportrestrictions #retaliations #Japanscurbs #forcedlabor #exportrestrictions

[trevorgough]

Good in depth reporting..I’m going to subscribe 👍 hi from the uk 🇬🇧

[josephbirrenkott]

If I slander my neighbor because his grandpa called my grandpa a bad name back in the day, should I be surprised if my neighbor does not go out of his way to be kind to me? No.
People need to learn forgiveness and to stop lumping all present people of certain skin color, race, religion, nationality, etc. in with people who "in the past" made a poor choice. What someone's father or grandfather did should not define how you treat or interact with their descendant today. And stop treating every individual like they are merely part of a collective group. Does every Korean have the same favorite film? Does every Japanese have the same favorite restaurant? No. Neither did every Japanese jump for joy to exploit Koreans back in the day. So why treat all those alive today as though they were there or like every Japanese gladly went along with it when it was happening? How do you think that would make YOU feel if you were called out for the sins SOME people of your parents or grandparents generation gladly did and others went along with (or had nothing to do with) only because going against the government meant death?
If you do that, why would such people not look elsewhere to trade?
Guess what. Pretty much every country and people has wronged others at some point. I guess we could make a total of everything from the beginning of recorded history and balance the global checkbook, then start dishing out punishment to all. And then none of us would probably be alive. Or we could realize the past is the past. Sure if you catch an INDIVIDUAL who verified did terrible crimes punishment is one thing. But projecting that onto a people, race, religion, etc. simply because SOME people from that group in the PAST did something bad is ridiculous.
Both sides need to step back and think about that. And this isn't the only conflict to which that applies.

[michm]

The cause of the Japan’s national security concerns is the lax import controls of SK. Implement stringent controls and this problem will go away. How come SK have refused to answer questions and enquirers from Japan regarding questionable whereabouts of the materials over the last few years?

[Jake]

Japan has removed a special favor from South Korea over the mismanagement over the import goods by South Korea. Still South Korean can buy the products. Good luck South Korea!!

[rastamanrastaman]

【USA has showed a negative attitude in the arbitration between JPN and SK.】
There is no countries to help South Korea in the whole world. They have abandoned South Korea.
(1) On 8/02, the tripartite meeting was held by USA (Mike Pompeo, the Secretary of States USA), Japan (Kouno Tarou, Foreign Minister JPN) and South Korea (Kang Kyong-wha, Foreign Minister SK) in Bangkok, Thailand.
(2) Although it was previously expected that USA would arbitrate between Japan and South Korea, USA didn't show any definite plan/attitude of arbitration between two countries.
(3) The tripartite meeting was held for about 30 min. This tripartite meeting catched attentions of many foreign countries because it was held immediately after the Cabinet Council Decision about the Legislative Amendments of Japan.
(4) This Decision newly dictates to drop South Korea from Japan's "White list" countries. Being categorized in "White list", it had provided South Korea with the preferential treatment as the counter-partner of trade with Japan. But it has ended.
(5) According to the official statement from Ministry of Foreign Affairs JPN, Mike Pompeo simply told "USA wants to encourage both Japan and South Korea to progress in cooperetion with each other." But Mike Pompeo didn't show any definite plan of mediation by USA to improve the relation between Japan and South Korea.
(6) On the other hand, according to Kang Kyong-wha, Mike Pompeo told to her "Whatever kind of efforts we (USA) can make to resolve the issue between two countries, we intend to do it.". She told to the press as above.
※ translation and summarization by rastaman rastaman.

[silverageist]

with USA as Japan's allies, i'm sure South Korea will see where the story leads in future in terms of food and fuel to its people.

[scooby-tmyk]

Please remind your viewers that WTO appeals court will be temporarily closing in December. Therefore it may be well into next year when South Korea finds out that WTO does not have the authority to determine which countries Japan considers a national security risk.

[cheems]

I dont understand why koreans always bringing the past.yes japan has done terrible things and they apologise for it and it also offer money but still koreans break words? How come koreans always bringing up the comfort women issue and slave labor. When koreans themselves also done terrible things to vietnam.but they never did a documentary on it and apologisenfor it even compensation.they did these export curbs for themselves.

[humbirdla]

Make your own Korean materials. Make it!! .. Can't you??

[natsashikata]

For both Korea’s left and Japan’s right, these government actions are overdue expressions of popular will. However, a truly healthy liberal democracy would combine freedom of expression with open, informed, balanced public discourse. As Seoul defends comfort women statues and other anti-Japanese expressions, it censors critics who question victims’ narratives. For instance, after a Sunchon National University professor told his class that some Koreans probably volunteered as comfort women, the university terminated his employment and a court sentenced him to six months’ imprisonment.

[rastamanrastaman]

@Mx pUpU  Yes, I do. My assets have been not as KRW denominated but as JPY denominated at all. I bought my house by JPY.
Nowadays, in Japan, KRW may be famous that the bill of KRW is convenient for the sniffing of the illegal drug powder as well as wasted-paper.
Do you know other use of the bill of KRW ?

[rastamanrastaman]

【South Korean people had better distinguish the actual circumstance from their own wish.】
(1) Today (8/20), South Korea's Minister of Foreign Affairs revealed that South Korea's government attempts to improve the current situation between Japan and South Korea by means of the dialogue with the counter-part person of Japan (Kouno Tarou, Minister of of Foreign Affairs) at Beijing in China on 8/21.
But we have already noticed that South Korea can never prepare any term of exchange for Japan to make a compromise with South Korea.
(2) Kouno Tarou has already revealed that it is South Korea's own choice whether the actual situation can be improved or not. It suggests that Japan never intends to make any compromise with South Korea as the spontaneous action from Japan's side.
(3) South Korea's news-medias reported that South Korea's government is expecting China to arbitrate between Japan and South Korea in the tripartite meeting at Beijing on 8/21.
But it is very doubtful whether China actually intends to arbitrate two countries. Because there is no incentive for China to do it. Furthermore, China is currently busy with the correspondence to the democratic movement in Hongkong.
(4) South Korea has ever kept it blur whether South Korea will declare the renewal of GSOMIA by 8/24 (it will be the dead-line day of declaration for its renewal). Moon Jae-in may be thinking that the possibility of GSOMIA's renewal can make Japan revoke its new regulation of trade control administration against South Korea. But I guess that Japan's government would rather expect South Korea's withdrawal of GSOMIA. Because there is so much disparity of the capacity for information gathering/provision between Japan and South Korea that Japan has no benefit.
(5) South Korea has already been considered that they can do nothing but encumber not only USA's allies including Japan but also North Korea. South Korean people had better recognize this actual circumstance although it is too late to recover their own mistakes by themselves.

[ttt]

Supreme court decision independently made of executive branch? Do not make us laugh! We know that those in judiciary division are close to Moon.

[charlieyu]

Koreans like Jpanese individuals. But we do not like the politicians use the power for their prosperity.
Korean does not want another apology again for the past history but want to see the proper act if they really regret what they have done.
We are living in global world but what era Abe is living since he want to go back to the days they have a big ambition to rule the world and bombed US and world.

[rishav]

This is china playing 6d chess from behind

[CHO-yzlz]

Justice always wins. Just like world wars.The invaders will always lose. It will be a long fight but i belive our people will overcome and grow stronger.

[itoyu]

President Moon's endless poor decision-making would facilitate the fall of South Korea.

[Hong-hcfz]

Semiconductors from chip production to finished products, it is a global business that is involving many different countries.
The Japanese choice of breaking this partnership is clearly suicidal, eventually the impact will go back to Japanese companies.

[natsashikata]

You were granted whitelist treatment in 2004 maybe use that? You can also use the Just in time manufacturing, I dont know what that is but it was recommended by the japanaese media. But most of all you should build your own.